Arthur Hayes says AI rescue liquidity could send Bitcoin price to $1,000,000
Arthur Hayes argues Bitcoin could reach $1 million if AI’s huge capital demand triggers a credit blowup, forcing policymakers to print money and driving capital into scarce assets like crypto. He says AI has absorbed roughly $1.5 trillion in debt since late 2022, roughly matching M2 growth, so fresh liquidity has gone into data centers and GPUs instead of Bitcoin. Luke Gromen makes a similar case: AI is draining market liquidity, weakening breadth, and Bitcoin is a “smoke alarm” for liquidity stress. The BIS adds support, warning that AI infrastructure is increasingly funded by external debt and private credit, with some off-balance-sheet “shadow borrowing.” Apollo’s Torsten Slok says top S&P names are more overvalued than in the 1990s, making the market highly dependent on the AI trade. The main uncertainty is crisis flow: emergency money may first go to Treasuries, cash, and gold rather than Bitcoin.
